ATCO LTD -CLASS I (ACO-X.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ACO-X - CA0467894006 - Common Stock
55.96 CAD
+0.21 (+0.38%)
Taking everything into account, ACO-X scores 5 out of 10 in our fundamental rating. ACO-X was compared to 19 industry peers in the Multi-Utilities industry. ACO-X has an average financial health and profitability rating. ACO-X has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ACO-X was profitable.
ACO-X had a positive operating cash flow in the past year.
ACO-X had positive earnings in each of the past 5 years.
In the past 5 years ACO-X always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.55%, ACO-X is in line with its industry, outperforming 42.11% of the companies in the same industry.
With an excellent Return On Equity value of 9.08%, ACO-X belongs to the best of the industry, outperforming 89.47% of the companies in the same industry.
ACO-X has a worse Return On Invested Capital (3.73%) than 78.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ACO-X is in line with the industry average of 3.74%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 9.08% | ||
| ROIC | 3.73% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
1.3 Margins
With a Profit Margin value of 8.38%, ACO-X perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
In the last couple of years the Profit Margin of ACO-X has declined.
ACO-X has a Operating Margin (24.56%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of ACO-X has declined.
ACO-X has a Gross Margin (74.90%) which is in line with its industry peers.
In the last couple of years the Gross Margin of ACO-X has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.56% | ||
| PM (TTM) | 8.38% | ||
| GM | 74.9% |
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
2. Health
2.1 Basic Checks
ACO-X has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ACO-X remains at a similar level compared to 1 year ago.
The number of shares outstanding for ACO-X has been reduced compared to 5 years ago.
Compared to 1 year ago, ACO-X has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.78, we must say that ACO-X is in the distress zone and has some risk of bankruptcy.
ACO-X's Altman-Z score of 0.78 is amongst the best of the industry. ACO-X outperforms 84.21% of its industry peers.
ACO-X has a debt to FCF ratio of 27.90. This is a negative value and a sign of low solvency as ACO-X would need 27.90 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 27.90, ACO-X belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 2.64 is on the high side and indicates that ACO-X has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.64, ACO-X is doing worse than 73.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.64 | ||
| Debt/FCF | 27.9 | ||
| Altman-Z | 0.78 |
ROIC/WACC0.73
WACC5.08%
2.3 Liquidity
ACO-X has a Current Ratio of 1.81. This is a normal value and indicates that ACO-X is financially healthy and should not expect problems in meeting its short term obligations.
ACO-X has a better Current ratio (1.81) than 100.00% of its industry peers.
A Quick Ratio of 1.66 indicates that ACO-X should not have too much problems paying its short term obligations.
ACO-X's Quick ratio of 1.66 is amongst the best of the industry. ACO-X outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.19% over the past year.
The Earnings Per Share has been growing slightly by 6.10% on average over the past years.
ACO-X shows a small growth in Revenue. In the last year, the Revenue has grown by 7.75%.
The Revenue has been growing slightly by 0.98% on average over the past years.
EPS 1Y (TTM)10.19%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%13.58%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%6.09%
3.2 Future
ACO-X is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.90% yearly.
Based on estimates for the next years, ACO-X will show a small growth in Revenue. The Revenue will grow by 2.20% on average per year.
EPS Next Y8.92%
EPS Next 2Y4.96%
EPS Next 3Y4.9%
EPS Next 5YN/A
Revenue Next Year0%
Revenue Next 2Y1.49%
Revenue Next 3Y2.2%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
ACO-X is valuated correctly with a Price/Earnings ratio of 12.33.
ACO-X's Price/Earnings ratio is in line with the industry average.
ACO-X is valuated cheaply when we compare the Price/Earnings ratio to 26.77, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 11.84, the valuation of ACO-X can be described as very reasonable.
ACO-X's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of ACO-X to the average of the S&P500 Index (23.35), we can say ACO-X is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.33 | ||
| Fwd PE | 11.84 |
4.2 Price Multiples
ACO-X's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ACO-X is cheaper than 73.68% of the companies in the same industry.
63.16% of the companies in the same industry are more expensive than ACO-X, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.52 | ||
| EV/EBITDA | 8.34 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.38
PEG (5Y)2.02
EPS Next 2Y4.96%
EPS Next 3Y4.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.62%, ACO-X has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.05, ACO-X's dividend is way lower than its industry peers. On top of this 94.74% of the companies listed in the same industry pay a better dividend than ACO-X!
ACO-X's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.62% |
5.2 History
The dividend of ACO-X has a limited annual growth rate of 3.93%.
ACO-X has paid a dividend for at least 10 years, which is a reliable track record.
ACO-X has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.93%
Div Incr Years31
Div Non Decr Years34
5.3 Sustainability
52.20% of the earnings are spent on dividend by ACO-X. This is a bit on the high side, but may be sustainable.
ACO-X's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP52.2%
EPS Next 2Y4.96%
EPS Next 3Y4.9%
TSX:ACO-X (12/29/2025, 7:00:00 PM)
55.96
+0.21 (+0.38%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners28.28%
Inst Owner ChangeN/A
Ins Owners0.68%
Ins Owner ChangeN/A
Market Cap6.27B
Revenue(TTM)5.14B
Net Income(TTM)431.00M
Analysts78.57
Price Target61.49 (9.88%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.62% |
Yearly Dividend1.96
Dividend Growth(5Y)3.93%
DP52.2%
Div Incr Years31
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.14%
Min EPS beat(2)-3.78%
Max EPS beat(2)8.05%
EPS beat(4)3
Avg EPS beat(4)2.22%
Min EPS beat(4)-3.78%
Max EPS beat(4)8.05%
EPS beat(8)7
Avg EPS beat(8)4.37%
EPS beat(12)9
Avg EPS beat(12)2.66%
EPS beat(16)12
Avg EPS beat(16)4.06%
Revenue beat(2)0
Avg Revenue beat(2)-9.84%
Min Revenue beat(2)-17.7%
Max Revenue beat(2)-1.99%
Revenue beat(4)0
Avg Revenue beat(4)-9.73%
Min Revenue beat(4)-18.52%
Max Revenue beat(4)-0.7%
Revenue beat(8)0
Avg Revenue beat(8)-11.91%
Revenue beat(12)0
Avg Revenue beat(12)-10.29%
Revenue beat(16)1
Avg Revenue beat(16)-9.26%
PT rev (1m)4.54%
PT rev (3m)8.21%
EPS NQ rev (1m)-0.47%
EPS NQ rev (3m)-0.2%
EPS NY rev (1m)0.59%
EPS NY rev (3m)1.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)5.26%
Revenue NY rev (3m)0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.33 | ||
| Fwd PE | 11.84 | ||
| P/S | 1.22 | ||
| P/FCF | 13.52 | ||
| P/OCF | 2.57 | ||
| P/B | 1.32 | ||
| P/tB | 1.86 | ||
| EV/EBITDA | 8.34 |
EPS(TTM)4.54
EY8.11%
EPS(NY)4.73
Fwd EY8.45%
FCF(TTM)4.14
FCFY7.4%
OCF(TTM)21.76
OCFY38.88%
SpS45.88
BVpS42.35
TBVpS30.16
PEG (NY)1.38
PEG (5Y)2.02
Graham Number65.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 9.08% | ||
| ROCE | 4.79% | ||
| ROIC | 3.73% | ||
| ROICexc | 3.92% | ||
| ROICexgc | 4.15% | ||
| OM | 24.56% | ||
| PM (TTM) | 8.38% | ||
| GM | 74.9% | ||
| FCFM | 9.02% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
ROICexc(3y)4.06%
ROICexc(5y)3.97%
ROICexgc(3y)4.27%
ROICexgc(5y)4.16%
ROCE(3y)5.04%
ROCE(5y)4.9%
ROICexgc growth 3Y1.58%
ROICexgc growth 5Y-6.25%
ROICexc growth 3Y1.11%
ROICexc growth 5Y-6.55%
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
F-Score7
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.64 | ||
| Debt/FCF | 27.9 | ||
| Debt/EBITDA | 5.96 | ||
| Cap/Depr | 234.56% | ||
| Cap/Sales | 38.4% | ||
| Interest Coverage | 2.33 | ||
| Cash Conversion | 115.87% | ||
| Profit Quality | 107.66% | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z | 0.78 |
F-Score7
WACC5.08%
ROIC/WACC0.73
Cap/Depr(3y)212.07%
Cap/Depr(5y)195.52%
Cap/Sales(3y)33.77%
Cap/Sales(5y)31.75%
Profit Quality(3y)134.57%
Profit Quality(5y)187.54%
High Growth Momentum
Growth
EPS 1Y (TTM)10.19%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%13.58%
EPS Next Y8.92%
EPS Next 2Y4.96%
EPS Next 3Y4.9%
EPS Next 5YN/A
Revenue 1Y (TTM)7.75%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%6.09%
Revenue Next Year0%
Revenue Next 2Y1.49%
Revenue Next 3Y2.2%
Revenue Next 5YN/A
EBIT growth 1Y25.67%
EBIT growth 3Y7.57%
EBIT growth 5Y-2.22%
EBIT Next Year433.88%
EBIT Next 3Y81.02%
EBIT Next 5YN/A
FCF growth 1Y1.09%
FCF growth 3Y-8.79%
FCF growth 5Y2.94%
OCF growth 1Y16.42%
OCF growth 3Y5.63%
OCF growth 5Y7.34%
ATCO LTD -CLASS I / ACO-X.CA FAQ
What is the ChartMill fundamental rating of ATCO LTD -CLASS I (ACO-X.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ACO-X.CA.
Can you provide the valuation status for ATCO LTD -CLASS I?
ChartMill assigns a valuation rating of 5 / 10 to ATCO LTD -CLASS I (ACO-X.CA). This can be considered as Fairly Valued.
How profitable is ATCO LTD -CLASS I (ACO-X.CA) stock?
ATCO LTD -CLASS I (ACO-X.CA) has a profitability rating of 4 / 10.
What is the valuation of ATCO LTD -CLASS I based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ATCO LTD -CLASS I (ACO-X.CA) is 12.33 and the Price/Book (PB) ratio is 1.32.
How financially healthy is ATCO LTD -CLASS I?
The financial health rating of ATCO LTD -CLASS I (ACO-X.CA) is 5 / 10.